Description: The purpose of this paper is to examine the effects of the renewable fuels standard, employing an econometrically based multi-market simulation model to evaluate the policy’s efficiency impacts. We investigate the impacts of increased U.S. biofuels mandates on overall blended fuel consumption, relating these impacts to changes in fuel mix (regular gasoline and ethanol), changes in fleet composition (shifts to higher mileage automobiles) and vehicle miles traveled (VMT). The presenter will also examine the impacts of increased U.S. biofuels mandates on agricultural production, relating these effects to changes in crop acreage, rotation practices, tillage systems and land allocated to the conservation reserve program (CRP). Finally, he will evaluate the economy-wide costs of higher biofuels mandates, and explore how pre-existing distortions caused by the ethanol volumetric tax credit and the gasoline tax affect these costs.